Public Land Leasing is an important tool in managing urban growth as well as in raising public funds. The government stipulates the restrictions on uses, height, plot ratio, and building design in the Conditions of Sale when contracting to lease a parcel of land. The contract is sent/ advertised to all interested land developers who will then bid for development rights in land through public auction/ tenders. Lease renewals represent another opportunity for land-value capture whereby leaseholder is required to pay an additional premium which is based on the increased land value.
